Headlines1
Performance in line with guidance
. Full year revenue down 3% on a pro forma basis, up 3% on an actual basis; strong revenue growth in UK offset by Benelux decline
. Outsourcing revenue up 9% offset by decline of 10% in consulting and professional services
. Adjusted operating margin broadly maintained at 7.4%
. Strong operating cash conversion at 130%; net debt/EBITDA at 0.9x, with net debt of £291 million
. Proposed full year dividend of 3.3p, representing a 10% increase
. Good orders growth and healthy pipeline as we exit 2009
. Group orders up 4%, with Outsourcing orders up 21%
. Book to bill of 114% reflects stronger second half momentum in France and the Nordics
. Continued focus on sustainable growth and margin improvement over the longer term
. Programme for Growth cost savings of £75 million delivered in 2009, with reinvestments of £30 million in future growth
. Exceptional restructuring costs up £11 million to £95 million in 2009
. Increased savings of £130 million in 2010, with annualised savings of £145 million from 2011
. No further restructuring costs expected in 2010

For the year ended 31 December 2009, unaudited results were as follows:
Continuing Operations 2009 2008 Pro Forma 2008 Actual Growth
ProForma Actual
Revenue (£'m) 3,702 3,834 3,588 3% 3%
Adjusted operating profit (£'m) 272 289 267 6% 2%
Adjusted operating margin 7.4% 7.5% 7.5%
Adjusted basic EPS (p) 12.5 12.3 2%
Dividend per share (p) 3.3 3.0 10%

Statutory Results: 2009 2008 Actual

Operating profit (£'m) 66 86
Profit before tax (£'m) 43 44
Basic EPS (p) 2.5 2.7

For definition of pro forma, adjusted operating profit, adjusted operating margin, adjusted basic EPS and cash conversion, see notes on page 16 of the attached PDF document

Commenting on today’s announcement, Andy Green, CEO, said:

“In 2009, we grew orders, protected margin and converted profits to cash by executing on our plan in a tough market.

“As we enter 2010, Logica is a more integrated, confident company with a clear focus on delivering value. Building on our strengths in our key markets, our deep long lasting client relationships and our European roots, we are positioned to deliver sustainable results for our clients, people and shareholders.”